Kathmandu, Nepal, June 10, 2025 – Nepal Infrastructure Bank Limited (NIFRA) has issued the country’s first-ever publicly listed Green Bond with technical assistance from the Global Green Growth Institute (GGGI) and financial support of the Korea International Cooperation Agency (KOICA). The issuance that took place on June 1, 2025 marked a significant step in Nepal’s journey towards building a green finance ecosystem. 

The NIFRA Green Energy Bond 6%-2088/089 totals NPR 5 billion (approximately USD 36 million) with a 7-year tenure and an annual interest rate of 6%. The proceeds will exclusively support renewable energy initiatives, paving the way for cleaner and more resilient infrastructure in Nepal.  

Preceding the issuance, GGGI provided technical advice to NIFRA for the development of its Green Bond Framework, which outlines the specific criteria, procedures, and standards that define projects eligible for funding through green bond issuance and how the funds will be managed and reported. This framework aligns with the ICMA Green Bond Principles 2021 (GBP), the EU taxonomy, and the Nepal Green Finance Taxonomy 2024. A second-party opinion from Sustainable Fitch Inc. was obtained, resulting in an excellent rating for the Green Bond Framework. GGGI also supported NIFRA in attaining the regulatory approvals from Nepal Rastra Bank (NRB) and the Securities Board of Nepal (SEBON). 

The landmark issuance was acknowledged in a celebratory event ‘Greening our Development’ on 10 June held in Kathmandu. Hon. Minister of Forests and Environment, Mr. Ain Bahadur Shahi Thakuri reminded of national and international climate goals and the need to align financial instruments with them: “We urge all stakeholders to align their efforts with Nepal’s NDCs, carbon trading mechanisms, and climate goals.” He also emphasized the importance of collective efforts in controlling forest fires in Nepal.  

H.E. Mr. Tae-Young Park, Ambassador of the Republic of Korea, extended his congratulations to the Government of Nepal and all involved stakeholders, saying “This event marks a historic milestone in Nepal’s climate leadership. We are proud of KOICA’s support to this effort in collaboration with GGGI and NIFRA.” 

Mr. Mooheon Kong, Country Director of KOICA Nepal Office, said: “We sincerely thank NRB and SEBON for enabling this milestone by giving the green light to the bond issuance. This green bond is a pathway to inclusive green growth.”  

“This collaboration is an excellent example of how international partnerships and resources can be aligned to respond to the needs of an evolving market. The result is very concrete – five billion rupees from investors channeled to climate resilient projects in Nepal”, said Ms. Laura Jalasjoki, Country Representative of GGGI Nepal, referring to the Collaboration Agreement signed between NIFRA, KOICA, and GGGI for the Green Bond Framework.

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For more information, visit:  https://gggi.org 

GGGI Nepal  

Ms. Laura Jalasjoki 

Country Representative, Nepal and Pakistan 

+32 471 59 21 46 | laura.jalasjoki@gggi.org 

GGGI Seoul HQ   

Romain Brillie   

Director, Department of Strategy and Communications 
+82 10 9530 0170 | brillie.romain@gggi.org      

Na Yoon Kang   

Senior Assistant, Communications & Knowledge Sharing Unit 
+82 10 9530 0338 | nayoon.kang@gggi.org   

© Photo Credit: Diwakar Rai, Communications Consultant, GGGI Nepal 

About NIFRA 

NIFRA was registered as the first national level infrastructure development bank of the nation, promoted by Government of Nepal together with Banks and Financial Institutions (BFIs), Life and Non-life Insurance companies, other private sector leading entities, and a team of entrepreneurs. The Bank received its license from Nepal Rastra Bank on February 11, 2019. The Bank is committed to financing sustainable infrastructure projects in Nepal to support economic growth and environmental stewardship. 

About the KOICA-GGGI project 

Building Climate Resilience and Reintegrating Economically Displaced Workers through Climate Smart Agriculture in the Terai Flood Plain 

The project aims to support widespread adoption of climate-smart agriculture (CSA) interventions to reduce vulnerability and improve food and job security, especially for women, youth and returned migrant workers. The project also advances sustainable finance and green infrastructure development in Nepal, under which GGGI supports NIFRA in the first public issuance of a green bond in Nepal.